Wine market upswing with relaxed rules
Wineries of Australia are investing more in the Indian market after rules have been relaxed, reports Prerna K Mishra.india Updated: Nov 13, 2006 21:57 IST
With states like Maharashtra and Punjab and the Union Territory of Chandigarh having relaxed retailing norms to allow the sale of wine through any retail outlet dropping all regulatory restrictions, the market for wine is expected to grow dramatically.
In anticipation, wineries across the world are showing increased interest in the Indian market, and leading them are the wineries of Australia. Dabur Foods CEO Amit Burman, who spearheaded Dabur’s foray into processed foods, has joined hands with an Australian company to tap the growing opportunity in India.
Burman has invested in Nature’s Bounty Wines and Allied Products to bring four different varieties of Australian wine to India by December.
“The wines industry is showing a year-on-year growth of 25 per cent. Even though Mumbai and Kolkata account for nearly 60-65 per cent of the wine market, Bangalore and Goa are emerging as very promising markets too,” he says.
Adds Nature's Bounty Wines & Allied Products CEO AS Wadhwa,"Toorak Wineries located in the New South Wales region of Australia, having a 5,000-tonne grape capacity, will make four variants of the wine under Casuarina Creek brand for the Indian market.”
The upswing has given the Rs 300 crore wine industry reason to ramp up and that too in a hurry. The sector is expected to grow from 7,00,000 cases (9 million bottles) this year to 1 million mark in the next couple of years, according to Rajeev Samant, CEO SulaVineyards.
As a part of its expansion plans, SulaVineyards has acquired India’s first sparkling wine factory, and India’s first Wine Nursery, the Pimpane Co-operative India Ltd based 30 km from Nashik in Maharashtra.
Wadhwa expects more states to join in by allowing the retail of wine without any licenses from the next financial year. "That will give the next level of fillip to the wine trade," he adds.
If wines are in air, can Tequila be far behind? Mexico-based Tequilera D'earandas that has been selling its El-Charro brand in India through a distributors network in Delhi, Goa and, Mumbai, will start bottling Mexican tequila in India by next year.
“We are currently evaluating our options. W e want to set up three to four bottling plants in Delhi alone. Though we have ten tequila brands selling globally, we will first start bottling the El-Charro brand in India as it is very well received in forty-two other countries,” says Rodrigo Antonio Chavez Corona who is the Export Manager for
Tequilera D'earandas (group company owning the for El Charro brand).
The company that sells nearly 3,500 cases of tequila in India every year, has a long-term plan to make India the bottling hub for selling into the other Asian destinations.
First Published: Nov 13, 2006 21:57 IST